Armour Energy has conceded it is behind forecasted production levels and has therefore launched plans to stimulate wells later this year to improve output.
Like many other companies, Armour has reported that is has been affected operationally and financially by COVID-19, a challenge that has impacted its overall 2020 work program around Australia.
Armour reported that its work program was being finalised by management, with the objective of increasing both oil and gas production from exisiting fields.
In addition, exploration activities across the company’s broader portfolio on the Roma Shelf in Queensland have continued.
The company stated in a March quarter update that it planned to hydraulically stimulate existing well stock in various fields during 2020 and 2021.
Armour completed an extensive review of its acreage for oil exploration, appraisal and development potential during the March quarter.
The company found there was a new 2P oil reserve of 1.22 million barrels in the Surat-Bowen Basin, Queensland.
“The adding of material oil reserves and resources to Armour’s portfolio validates the long term and diverse potential of the wider Kincora project,” Armour stated.
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